Using risk management to navigate business uncertainty

The curious thing about risk management is that good companies embed and thrive on it, while others look on and wonder when their luck is going to change.

It’s often said that the flip side of risk is opportunity. That is because the world of business is inherently uncertain, and that uncertainty delivers unpredictability that can be both positive and negative.

Not a great deal of literature exists around ‘opportunity management’ because many businesses don’t need frameworks and structures to pursue opportunities that have a clear upside. They simply do whatever it takes to realise the benefits of those opportunities.

Conversely however, when it comes to managing downside risks, it all becomes too hard. But it needn’t be. A robust enterprise risk management system can become a part of the business fabric and a core part of business operations. In fact, the best risk controls are often actions that a business is already taking intuitively that may simply require a little more organisation and prioritisation.

A good enterprise risk system need not be just another compliance activity for a business to worry about, it can form part of how the organisation reliably delivers value to customers within an environment that is inherently uncertain. Turning risks into opportunities can be as simple as structuring the business processes in a way that it can readily adapt when a change occurs.

Contact ⚡Virtus Advisory⚡ to get started.